Business owners often tell us they want to increase business profit. To get more profit, they want help with marketing to get more leads.
Our answer is always yes, we can help you with that, but not yet.
Think of your business as a bucket. The water you pour in is leads generated from marketing, and the leaking water is your profit.
Even with one small hole, no matter how much water you pour in, some water would leak out.
All businesses have holes that leak profit, that must be plugged before new leads are poured in.
Let’s see what this means for a manufacturing business.
An engineering business we worked with appeared from the outside to be doing well. They were generating over $100k per month in sales. But their annual profit was less than $50,000.
They came to see us to work on their marketing game. We quickly identified that they didn’t want to do more marketing, they simply wanted to increase their business profit.
At our first session we discussed all the small problems in their business. They told us:
- Our apprentices and tradesmen often make mistakes which leads to rework
- Our quoting is sometimes wrong
- Customers use us once, but we never see them again
- We haven’t had a price rise in over 4 years
- We have a lot of levies to pay which the customers don’t know about
- The guys are taking too long on jobs, and aren’t recording their time on job sheets
- Our supervisor is too busy doing paperwork to supervise the guys on the floor.
When we looked just at the mistakes the tradesmen had made in the previous 6 months, we identified over $80,000 worth of lost profit that could have been in their bank account.
Together we created an action plan to ensure that all the holes in their business bucket were plugged.
This started with reporting on business activity so we knew where the profit was leaking.
Next we worked on strategies to fill the holes.
Then yes, we worked on marketing their business, knowing that the work they did for those new customers would generate profit that would make all their hard work worthwhile.
When you work with Yellow Coaching and implement the strategies we devise, business coaching gives you a huge return on investment – not only saving you money, but making you money.